Truist Financial Corp stock underperforms Tuesday when compared to competitors

Investors will be hoping for strength from Truist Financial Corporation as it approaches its next earnings release. Our most recent consensus estimate is calling for quarterly revenue of $5.68 billion, down 2.83% from the year-ago period. M&T, U.S. Bancorp, Truist and others are down sharply as concerns about the health of the sector were renewed. The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%.

• Shares of the 15 largest American banks each fell 2% or more after Moody’s issued a chilly update on the closely-watched sector.
• Arista shot up 25.9% during the month, making it August’s very best stock in the S&P 500 — topping even other high-growth tech stocks.
• Truist Financial Corporation is headquartered in Charlotte, North Carolina and operates over 2,500 branches in 15 states and over 3,000 ATMs across the United States.

17 Wall Street equities research analysts have issued “buy,” “hold,” and “sell” ratings for Truist Financial in the last twelve months. There are currently 10 hold ratings and 7 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should “hold” TFC shares. A hold rating indicates that analysts believe investors should maintain any existing positions they have in TFC, but not buy additional shares or sell existing shares. Truist Financial Corporation has mixed financial performance, with stagnant revenue growth over the past few years.

S&P Global Ratings downgrades five U.S. regional banks after review of risk

However, there is always the potential for unexpected events to impact the company’s financial performance. Another risk facing Truist Financial Corporation is the potential for increased regulatory and political pressure. The banking industry is heavily regulated, and regulation changes can significantly impact the industry. Truist Financial Corporation has a strong compliance culture and is well-positioned to adapt to changes in regulatory requirements. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate.

If we consider the specifics of each trade, it is accurate to state that 60% of the investors opened trades with bullish expectations and 40% with bearish. Auto makers and chip stocks are among the big movers at the start of a shortened week following the Labor Day holiday. The company is scheduled to release its next quarterly earnings announcement on Tuesday, October 17th 2023.

Financial Calendars

Style is calculated by combining value and growth scores, which are first individually calculated. Optimism that the Fed finally cooled inflation with its rate hikes is giving way to fear that more rate increases are to come. Three quarters of the stocks in the S&P 500 dropped in February. Catalent (CTLT), a health care company, was a rare standout with its 25.6% in the month.

Zacks Earnings ESP (Expected Surprise Prediction) looks to find companies that have recently seen positive earnings estimate revision activity. The idea is that more recent information is, generally speaking, more accurate and can be a better predictor of the future, which can give investors an advantage in earnings season. The scores are based on the trading styles of Value, Growth, and Momentum. There’s also a VGM Score (‘V’ for Value, ‘G’ for Growth and ‘M’ for Momentum), which combines the weighted average of the individual style scores into one score.

Truist Financial Corp News

But just as with August, a tough market for most S&P 500 stocks doesn’t mean it’s bad for all of them. And now, there’s the scary month of September to contend with. Each month’s twists and turns reveal just how the volatile S&P 500 is still worthwhile for investors. Seeing the S&P 500 struggle in August isn’t much of a surprise, though. The month is historically the third-worst month of the year, says “The Stock Trader’s Almanac.” Stocks have gained a scant 0.1% on average in the month going back to 1950, the Almanac says.

Since then, TFC shares have decreased by 29.3% and is now trading at $30.44. Truist Financial Corporation may face challenges maintaining its strong financial performance during economic downturns or other external factors. The company’s strong balance sheet and conservative approach to risk management should help mitigate these risks.

These metrics suggest that Truist Financial Corporation is possibly undervalued relative to its peers. Truist Financial Corporation has performed on par with industry peers over the past year. Based in Charlotte, North Carolina, Truist is the combination of BB&T and SunTrust.

Price Target and Rating

The Style Scores are a complementary set of indicators to use alongside the Zacks Rank. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. You are being how to trade on nasdaq directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security.

Health care is the other S&P 500 sector to watch in the month. Three of the top 10 S&P 500 stocks this month were in the health care sector. Just behind Arista as the best S&P 500 in August is neuroscience treatment leader Eli Lilly (LLY), up 21.9% in the month. But it wasn’t one of the “Magnificent Seven” stocks you might suspect.

These dividend stocks yield as much as 11% -2-

The Company operates through its commercial bank subsidiary, Truist Bank (the Bank). The Bank provides a range of banking and trust services for clients and its digital platform. The Company’s segments include Consumer Banking and Wealth, Corporate and Commercial Banking, and Insurance Holdings. At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.32% per year.

Truist is a regional bank with a presence primarily in the Southeastern United States. In addition to commercial banking, retail banking, and investment banking operations, the company operates several nonbank segments, the primary one being its insurance brokerage business. 17 brokers have issued 1-year price objectives for Truist Financial’s shares. On average, they expect the company’s stock price to reach $40.82 in the next year.

That average ranking earns Truist Financial Corp an Analyst Rating of 31, which is better than 31% of stocks based on data compiled by InvestorsObserver. Truist Financial Corporation is an American bank holding company that provides various financial services to individuals and businesses. The company was formed in December 2019 through the merger of BB&T Corporation, and SunTrust Banks, Inc. Truist Financial Corporation https://investmentsanalysis.info/ is headquartered in Charlotte, North Carolina and operates over 2,500 branches in 15 states and over 3,000 ATMs across the United States. The company aims to help clients achieve financial confidence and security through personalized financial solutions. Moody’s lowered its credit ratings on a bunch of U.S. based small and mid-sized banks on Tuesday and placed some of their bigger peers on negative review as well.